Issue 37.13
“This sounds too good to be true” is the most common statement from investigating seniors while learning accurate details about the H.E.C.M. or Reverse Mortgage. While the literal thinking of getting a loan and never making a payment seems to be so, the H.E.C.M. is definitely good and also true for the consumer, but is it good for FHA?
The concern for HUD is the loan may be too easy to take advantage of or misuse. Proposed changes to the ever growing popular senior mortgage will attempt to stabilize the product and keep it around for years to come. Last week the U.S. Senate passed by unanimous consent the Reverse Mortgage Stabilization Act, HR2167. The bill, which was passed by the House and now goes to the President for his signature, will allow HUD to use notices or mortgagee letters to establish additional or alternative requirements necessary to improve the fiscal safety and soundness of the Home Equity Conversion Mortgage program.
Even though more changes may be on the horizon for this fantastic alternative to the traditional monthly payment mortgage option, the fact remains no payments for life for a home mortgage is attractive to many people over the age of 62 with limited budgets.
For more details on how the H.E.C.M. loan works or how your own personal circumstance may be affected by the opportunities it may offer, a 15-30 minute meeting can be set up for FREE. All available information or education is provided at no cost. Simply write down all concerns, objections and general questions and give me a call. Having a good understanding can only allow you to confidently make financial decisions either involving the loan or perhaps not but at least you will have peace of mind you checked it out.
My name is Scott Gibson and I have been licensed and performing the H.E.C.M. for over 7 years. I have seen it evolve into what it is today and would love to educate you as well. 435-619-8080.